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School Finance

Education Jobs Fund

The Education Jobs Fund provides federal funding to states to support elementary and secondary teacher, school-level administrator and other essential school-level staff salaries and related costs. The $10 billion fund was established by Congress through H.R. 1586, which was signed into law on August 10, 2010.

Virginia’s Education Jobs Fund allocation is $249.5 million. While the legislation and funding are separate from the American Recovery and Reinvestment Action of 2009 (ARRA), H.R. 1586 provides for the administration of the Education Jobs Fund in a manner similar to the State Fiscal Stabilization Fund (SFSF) program under ARRA.

Virginia Application & LEA Allocations

Virginia’s application distributes funding to school divisions on the basis of Direct Aid to Public Education, which was identified in the commonwealth’s State Fiscal Stabilization Fund application as the primary method for apportioning state support for elementary and secondary education. School division allocations will be based on a pro rata share of each divisions’ fiscal year 2011 state share of Direct Aid to Public Education funding as appropriated in the Chapter 874, 2010 Acts of Assembly, budget. State funding for regional Governor’s Schools and regional alternative education programs budgeted to each program’s fiscal agent has been prorated back to the participating school divisions prior to the calculation of the Education Jobs Fund allocations.

Divisions are not required to submit an LEA application. Federal guidance emphasizes using the funds during 2010-2011, but any balances of funds may be obligated by divisions through September 30, 2012. Funds will be available on a reimbursement basis through the Online Management of Education Grant Awards (OMEGA) application, VDOE's Web-based grant application and reimbursement system, to reimburse qualifying expenses incurred on or after August 10, 2010 (date of enactment).

Use of Funds

School division Education Jobs Fund allocations can be used to recall or rehire former employees, retain existing employees, and hire new employees that provide school-level services regardless of where they are housed. For example, an employee’s office may be in the division’s central office, but if the employee provides school-level services as his or her primary job function, the position would qualify for funding. However, using the funds for general division administration is not allowable. Employees supported by the Education Jobs Fund must be employees of the division or contractual employees of another school division, but not external contractors or consultants not employed by a local education agency (LEA). For more information, see Section D of the Initial Guidance for States on the Education Jobs Fund Program(PDF).